Related party transaction

18 Jan 2008 11:24

Felix Group PLC18 January 2008 Felix Group plc ("Felix", the "Group" or the "Company") Related party transaction Felix announces that it has been informed by the administrators of its tradingsubsidiary Felix Corporation Limited ("Felix Corporation") (Joint AdministratorsDavid Costley-Wood and Brian Green of KPMG LLP) that the assets of FelixCorporation have been sold to Andy Egan. The assets sold include the Maxboxmachines, IT stock, the lease to the property and the goodwill. Theconsideration payable by Mr. Egan was £175,000 paid in cash on completion, withdeferred consideration equalling 77% of remaining rent deposit (approximately£25,000) payable once reassignment of the lease has taken place. Under the AIM Rules, this transaction is classed as a related party transaction,due to the fact that Mr. Egan has been a director of Felix within the last 12months. However, as Felix Corporation was in administration and the directorsof Felix (the "Directors") had no control over the terms of any asset sale, orover the party to whom they were sold, the Directors are not able to give a fairand reasonable opinion on the terms of transaction. Felix will update themarket in due course as to its cash position when it has received the netproceeds (if any) of the Felix Corporation asset sale. Media Enquiries: Susanna Voyle Celia Gordon Shute Tulchan Communications +44 (0) 20 7353 4200 Other Enquiries: Mark Dickenson Simon Brown Landsbanki Securities (UK) Limited, Nomad and Broker to Felix Group +44 (0)20 7426 9000 This information is provided by RNS The company news service from the London Stock Exchange